House Committee on Public Accounts (PACP): Office of the Auditor General: Report 5, Professional Services Contracts, October 9, 2025
Table of contents
Appearance Details
- Date:
- 9 October 2025
- Location:
- Room 415, Wellington Building, 197 Sparks Street
- Time:
- 11:00 – 12:45
- Witnesses:
Department of National Defence and the Canadian Armed Forces
Stefanie Beck, Deputy Minister
Lieutenant-General Paul Prévost, Chief Professional Conduct and CultureOffice of the Auditor General
Andrew Hayes, Deputy Auditor General
Aliya Haji, Director
Nicholas Swales, PrincipalPublic Services and Procurement Canada
Arianne Reza, Deputy Minister
Catherine Poulin, Assistant Deputy Minister, Departmental Oversight Branch
Dominic Laporte, Assistant Deputy Minister, Procurement BranchCanada Infrastructure Bank
Ehren Cory, Chief Executive Officer
Frédéric Duguay, General Counsel and Corporate Secretary
Member profiles
In this section

John Williamson
CPC - Saint John-St. Croix, New Brunswick
Profile
Role at the Standing Committee on Public Accounts (PACP): Chair, member since 2022
Connection to National Defence: Riding includes part of CFB Gagetown. Spouse is a Senior Officer in the Royal Canadian Navy. Former member of the Standing Committee on National Defence (2013 – 2015).
Key Interests: Mr. Williamson has been a vocal critic of the Government's handling of defence procurement. Other key interests include: Government waste and corruption, particularly focusing on private consultants and outsourcing of Government contracts related to ArriveCAN and audits of COVID-19 programs; crime and gun control, including criticizing drug decriminalization policies; rising grocery prices; and, issues of national security and Canada-China relations.
Recent Interventions at PACP:
- Has emphasized the need for greater transparency and accountability over military spending, quicker and more efficient procurement processes, and avoiding cost overruns and delays.
Recent Interventions in the House:
- June 2025: Through a series of interventions during House debates, addressed crime and gun control, criticizing the Government's approach of targeting legal gun ownership over fighting gun crime in Canadian cities.
- February 2024: (In Debate on the Opposition Motion requesting a report on ArriveCAN) The ArriveCAN procurement was "lacking basic management and proper record-keeping, and there was no ministerial or departmental oversight."
Professional History:
- Years elected: 2011, 2019, 2021, 2025
- Prior occupation: Media: Editorial Writer, National Post (1998 – 2001); Advocacy: National Director, Canadian Taxpayers Federation (2004 – 2008); Politics: Director of Communications, Office of the Prime Minister (2009 – 2010)
- Education: Bachelor's degree (Economics and Political Science) from McGill University; Master's degree (Economic History) from the London School of Economics.
- Other Committees: Liaison Committee (2022 – Present); Special Committee on Canada-China Relations (2020 – 2021); Standing Committee on Official Languages (2011 – 2013/2020 – 2021); Special Committee on the COVID-19 Pandemic (2020); Standing Committee on National Defence (2013 – 2015).
- Other Defence-related Parliamentary Roles: Canada NATO Parliamentary Association (2011 – 2013).

Jean Yip
LPC - Scarborough-Agincourt, Ontario
Profile
Role at the Standing Committee on Public Accounts (PACP): Vice-Chair, member since 2018.
Connection to National Defence: Through her parliamentary committee work, has engaged in discussions related to military justice, Operation HONOUR, and the recruitment and retention of pilots within the Canadian Armed Forces.
Key Interests: Conflicts of interest of government employees, international trade relations, affordability, tariff concerns, community safety.
Recent Interventions at PACP:
- September 2025: Ms. Yip discussed the reports under consideration for study by PACP and expressed an interest in those by the Environment Commissioner as well as Current and Future Use of Federal Office Space citing concerns over housing.
- June 2025: Ms. Yip asked the Auditor General several questions on Report 4, Professional Services Contracts, and public servants adherence to procurement rules.
- March 2024: Moved a motion to have the Deputy Minister of National Defence, Assistant Deputy Minister (Materiel), and the Assistant Deputy Minister (Human Resources – Civilian) appear before PACP in relation to dealings with Dalian and ArriveCan. Subsequently, during the appearance of National Defence officials in March 2024, Ms. Yip asked the Deputy Minister why individuals could be both an employee and contractor for National Defence, as in the case of Dalian. When then Minister of National Defence Blair appeared at PACP in June 2024 in relation to ArriveCan and Dalian, Ms. Yip questioned why certain contracts might be awarded in a non-competitive manner.
- March 2024: Ms. Yip asked multiple questions regarding National Defence's conflict of interest process in relation to David Yeo, Dalian owner. For example, Ms. Yip inquired on the conflict of interest process that National Defence undertook during the time of Mr. Yeo's resignation. Ms. Yip asked Mr. Yeo to explain the hiring process and the ethics and conflict forms that were signed.
Recent Interventions in the House:
- June 2025: (Question Period) Asked the Minister of International Trade about Canada's plans for trade diversification.
- June 2025: (Member Statements) Committed to focus on affordability, tariff concerns and community safety.
Professional History:
- Years elected: 2017 (by-election, widow of Arnold Chan, her predecessor), 2019, 2021, 2025.
- Prior occupation: Insurance: Holds the Fellow Chartered Insurance Professional Designation; Teacher: School teacher United Church (2005 – 2017); Science and Tech: Involved with the STEM Fellowship Board of Directors which promotes computer literacy and programming capacity among youth (2017– Present).
- Education: Bachelor's degree (Labour Management Relations and Sociology) from the University of Toronto.
- Other Committees: Current member of NATO Parliamentary Association (2018 – 2025); Special Committee on the Canada–People's Republic of China Relationship (2020 – 2021, 2022 – 2025).
- Other Defence-related Parliamentary Roles: NATO Parliamentary Association (2018 – 2025).

Sébastien Lemire
BQ - Abitibi - Témiscamingue, Québec
Profile
Political Role: Critic: Regional Economic Development (since 2021), Public Accounts, Indigenous Relations, and Sport (2025 – present)
Role at the Standing Committee on Public Accounts (PACP): Vice-Chair, New Member. Replaced, Nathalie Sinclair-Desgagné, his former colleague from Terrebonne.
Connection to National Defence: The 34 Combat Engineer Regiment detachment is located within Mr. Lemire's riding and he has advocated for a strengthened military presence in his riding.
Key Interests: Government contracting, procurement reform, Francophone rights and Quebec sovereignty, regional development, indigenous relations and northern development, agricultural innovation and climate resilience, and forestry and environmental sustainability.
Recent Interventions at PACP:
- September 2025: Brought forward two motions that he tabled on June 16 regarding studies that he would like the committee to undertake. The first was a study of the federal government's financial commitments related to the 2026 FIFA World Cup as they appear in the Public Accounts of Canada. The second, that the Auditor General conduct a performance audit of the Federal Additions to Reserve process.
- March 2024: Mr. Lemire appeared as a guest member to question officials from Public Services and Procurement Canada on the contracting for ArriveCan. His line of questioning focused on how David Yeo was able to work simultaneously as a civil servant at National Defence while receiving government contracts as a private consultant.
Recent Interventions in the House:
- June 2025: (Debates on Main Estimates 2025-2026) Spoke in support of investing in a national aerospace policy, with the stated goal of enabling Canada to "build an aircraft from nose to tail" in Montreal. He has also expressed a preference for Canadian companies to manage critical mineral extraction and for an increase in the amount of resource refinement conducted in Canada (rather than exporting raw materials).
Professional History:
- Years elected: 2019, 2021, 2025
- Prior occupation: Communications: Worked in various political and union communications jobs in Montreal and in Abitibi-Témiscamingue prior to being elected. Also served as President of the Bloc Québécois youth association.
- Education: Studied Public Administration at Université de Sherbrooke, at the Collège des administrateurs de sociétés and at the École national d'administration publique (ENAP).
- Other Committees: Standing Committee on Indigenous Affairs and Northern Affairs (2024 – present); Former Member: Standing Committee on Industry and Technology (2020 – 2024) (Vice Chair); Special Committee on the Covid-19 Pandemic (2020 – 2020).
- Other Defence-related Parliamentary Roles: Canadian NATO Parliamentary Association (2020 – present); Canadian Delegation to the Organization for Security and Co-operation in Europe Parliamentary Assembly (2020 – Present).

Ned Kuruc
CPC – Hamilton East – Stoney Creek, Ontario
Profile
Role at the Standing Committee on Public Accounts (PACP): Member since 2025
Connection to National Defence: No known connections to National Defence.
Key Interests: Government contracting, affordable housing, violent crime
Recent Interventions at PACP:
- September 2025: In regard to selecting the Auditor General reports for the committee to study, Mr. Kuruc recommended those on the Current and Future Use of Federal Office Space and Professional Service Contracts with GCStrategies.
- June 2025: In relation to the federal government contract with GCStrategies Inc. asked "is it standard practice for government departments to not check the skills and qualifications of people hired through their outsourcing contracts?"
Recent Interventions in the House:
- June 2025: (Debate on the Opposition Motion regarding GCStrategies Inc.) Spoke about Government contracts with GCStrategies and the Government's lack of transparency and accountability.
- June 2025: Asked Order Paper Question 65, seeking information on the number of government contracts cancelled, the total amount paid in cancellation fees, and details of cancellations, since January 1, 2023.
- June 2025 (Debate on Main Estimates and Supplementary Estimates (A) for 2025-26) Rose multiple times to pose questions regarding what the Government will do to address the cost of housing.
- June 2025: (Debate on Address in Reply) Spoke about gun crime in the city of Hamilton.
Professional History:
- Years elected: 2025
- Prior occupation: Entrepreneur: Owner of Neku Cannabis (2020 – Present); Director of Events and Fighter Acquisitions at K-1 Global; owner of several bars and nightclubs; Provincial Advisory Council: Appointed as the Council Chair to the Minister of Tourism, Sport and Culture's Combative Sport Advisory Council (2024).
- Education: High school diploma from Orchard Park Secondary School.
- Other Committees: N/A
- Other Defence-related Parliamentary Roles: N/A

Gérard Deltell
CPC – Louis-Saint-Laurent – Akiawenhrahk, QB
Profile
Political Role: Shadow Minister for Revenue
Role at the Standing Committee on Public Accounts (PACP): returning Member as of June 2025, previous member between 2017-2018
Connection to National Defence: Riding is located near CFB Valcartier
Key Interests: transparency and accountability in Government contracting, prioritizing the defence budget.
Recent Interventions at PACP:
- June 2025: In addressing the Auditor General, Mr. Deltell spoke about cost overruns in government contracting and brought up the F-35 program and the accountability for elected officials.
Recent Interventions in the House:
- September 2025: (Debate on Bill C-8) Mr. Deltell spoke on Bill C-8, An Act Respecting Cyber Security, emphasizing the global nature of cyber threats and the importance of protecting personal information. He called for clearer definitions within the Gill regarding what constitutes personal data, to ensure privacy is not compromised while enhancing cybersecurity.
- September 2025: (Debate on the Business of Supply) Mr. Deltell rose to address the carbon tax, noting his support for the oil and gas industries, and questioned whether Liberal MPs were truly listening to Quebeckers on this issue.
- June 2025: Mr. Deltell rose during debate on the Opposition Motion regarding GC Strategies Inc. and criticized the Government's transparency and accountability.
Professional History:
- Years elected: 2015, 2019, 2021, 2025
- Prior occupation: TV correspondent at Noovo; Canadian TV network; CIRO-FM Radio station
- Education: Bachelor's degree (History) from Université Laval.
- Other Committees: Standing Committee on Environment and Sustainable Development (2022-2025); Standing Committee on Industry and Technology (2022); Standing Committee on Natural Resources (2020).
- Other Defence-related Parliamentary Roles: Canadian NATO Parliamentary Association (2018-2019).

Kristina Tesser Derksen
LPC – Milton East – Halton Hills South, Ontario
Profile
Role at the Standing Committee on Public Accounts (PACP): New Member
Connection to National Defence: No known connections to National Defence.
Key Interests: Government contracting, civic education, immigration and newcomer support.
Recent Interventions at PACP:
- September 2025: Ms. Tesser Derksen expressed a special interest in the committee studying the environmental reports issued by the Commissioner of the Environment.
- June 2025: In relation to the federal government contract with GC Strategies Inc., asked about contextual factors, either internally or externally, "that may have created a fog within the department and that may have contributed to the relegation of rule-following".
Recent Interventions in the House:
- September 2025: (Statements by Members, Georgetown Boys & Armenia Independence Day) She delivered a speech commemorating Armenia's Independence Day and reflected on the historical significance of the Georgetown Boys, a group of Armenian orphans brought to Canada in the 1920s.
- June 2025: (Debate on the Opposition Motion regarding GC Strategies Inc.) Asked about the importance of due process and the legal process that the Government should follow in recovering losses and damages and in seeking a remedy.
- May 2025: (Statements by Members, Civic Education in Schools) Ms. Tesser Derksen shared a story about grade 4 and 5 students at Glen Williams Public School in Georgetown, highlighting their engagement with civic education and democratic values.
Professional History
- Years elected: 2025
- Prior occupation: Lawyer: Miller Thomson LLP (2013 – 2014); Johnson McMaster Professional Corporation (2014 – 2023); Greenwood Tesser Derksen (2023 – 2025); Municipal Politics: Milton Town Council (2018 – 2025)
- Education: Bachelor's degree (History and Political Science), Law degree from the University of Toronto
- Other Committees: N/A
- Other Defence-related Parliamentary Roles: Canadian Delegation to the Organization for Security and Co-operation in Europe Parliamentary Assembly (2025 – Present)

Anthony Housefather
LPC – Mount Royal, Quebec
Profile
Political Role: Parliamentary Secretary to the Minister of Emergency Management and Community Resilience (2025 – Present), Parliamentary Secretary to the Treasury Board (2024 –2025); Parliamentary Secretary to the Minister of Public Services and Procurement (2021 – 2023); Parliamentary Secretary to the Minister of Labour (2019 – 2021)
Role at the Standing Committee on Public Accounts (PACP): New Member
Connection to National Defence: No known connections to National Defence.
Key Interests: Israel-Gaza conflict, the defence industry, reaching NATO 2% of GDP, the Arctic, minority language rights, and antisemitism. Mr. Housefather has been active on the issue of bilingualism and the protection of minority language rights and has frequently stood in the House to voice his opposition to Quebec's Bill 96.
Recent Interventions at PACP:
- September 2025: Mr. Housefather recommended that the committee conduct a study of the F-35s, citing, "I do believe the F-35s are a very pressing issue, in terms of decisions we're going to make, a very important relationship with the United States and the need to have fighter jets."
- June 2025: Mr. Housefather asked the Auditor General if there is a legal basis to reclaim the amount ($64 million) paid to GC Strategies Inc., as they did not meet the requirements of the contract.
Recent Interventions in the House:
- September 2025: (Debate on the Notwithstanding Clause) During a debate on the Business of Supply, Housefather responded to a Bloc Québécois motion concerning the Notwithstanding Clause. He questioned whether the Government of Canada should refrain from intervening in legal conflicts between provincial courts (Quebec and Saskatchewan) and federal institutions. He emphasized that the clause affects not only provinces but also the federal government, including the House of Commons and the Senate.
Professional History:
- Years elected: 2015, 2019, 2021, 2025
- Prior occupation: Corporate Career: Executive Vice President, Corporate Affairs, and General Counsel at Dialogic Corporation; Municipal Politics: Town Councillor in Hampstead (1994 - 2001), President of Alliance Quebec (2000 – 2001), Councillor in the merged City of Montreal, and Leader of the Demerger Movement in Montreal (2001 – 2005), Mayor of Côte Saint-Luc (2005 – 2015)
- Education: Bachelor of Civil Law and Bachelor of Laws from McGill University; Master of Business Administration from Concordia University.
- Other Committees: Access to Information, Privacy and Ethics (2024 – 2025); Justice and Human Rights (2016 – 2019/2023 –2024); Canadian Heritage (2020 – 2023); Government Operations and Estimates (2021 – 2023); Economic Relationship between Canada and the United States (2021 – 2021).
- Other Defence-related Parliamentary Roles: Canadian NATO Parliamentary Association (2018 – Present); Canadian Delegation to the Organization for Security and Co-operation in Europe Parliamentary Assembly (2020 – 2021/2025 – Present).

Tom Osborne
LPC – Cape Spear, NL
Profile
Political Role: Parliamentary Secretary to the President of the Treasury Board
Role at the Standing Committee on Public Accounts (PACP): New Member
Connection to National Defence: The member is newly elected and has no known connections to National Defence.
Key Interests: Accountability and transparency with government spending, energy security.
Recent Interventions at PACP:
- September 2025: Mr. Osborne asked the Auditor General, who was appearing as a witness to discuss the 2025 Reports, to provide recommendations on how government departments can better follow procurement rules.
- June 2025: Mr. Osborne addressed the Auditor General regarding rules surrounding financial administration in government.
Recent Interventions in the House:
- June 2025: (Debate on Main Estimates 2025-26) Mr. Osborne reinforced that the increased spending in the Canadian Armed Forces is to ensure that they have equipment, health care and health insurance, respect, and that the CAF is seen as a rewarding career.
Professional History:
- Years elected: 2025
- Prior occupation: Member of the House of Assembly (MHA) of Newfoundland and Labrador: MHA for Waterford Valley (1996-2024). Held various provincial Cabinet positions under both Progressive Conservative and Liberal Governments, including Minister of Finance, Minister of Health and Community Services, Minister of Education, Minister of Labour, and Minister of Justice
- Other Committees: N/A
- Other Defence-related Parliamentary Roles: Canadian Delegation to the Organization for Security and Co-operation in Europe Parliamentary Assembly (2025 – Present); Canadian NATO Parliamentary Association (2025 – Present).

Stephanie Kusie
CPC – Calgary Midnapore, AB
Profile
Political Role: Shadow Minister of the Treasury Board and the King's Privy Council
Role at the Standing Committee on Public Accounts (PACP): New Member, but previously, was a long-standing member of the Government Operations and Estimates Committee (OGGO).
Connection to National Defence: No known connections to National Defence.
Key Interests: Procurement, contracting, defence spending, China, Ukraine, culture change.
Recent Interventions at PACP:
- September 2025: In regards to committee business, Ms. Kusie recommended that the committee study the Auditor General reports on the Current and Future Use of Office Space, Professional Services, and GCStrategies.
- June 2025: Ms. Kusie questioned the Auditor General on ministerial accountability on releasing payment for deliverables that were not received.
Recent Interventions in the House:
- September 2025: (Opposition Motion in the Business of Supply) During a debate on the Business of Supply, Ms. Kusie supported a motion calling on the Prime Minister to repeal the oil and gas emissions cap, which she described as a production cap. She argued that such policies were harmful to Canada's energy sector.
- September 2025: (Question Period) Ms. Kusie criticized the Prime Minister for failing to deliver a budget six months into his mandate. She highlighted that experts were projecting a deficit twice as large as the one created under Justin Trudeau and expressed concern about the lack of fiscal responsibility.
Professional History:
- Years elected: 2017, 2019, 2021, 2025
- Prior occupation: Diplomat (Argentina 2006, El Salvador 2006 – 2008, Consul for Canada in Dallas 2010 – 2013). Policy advisor to the Honourable Minister Peter Kent during his time as Minister of State for Foreign Affairs for the Americas (2009).
- Education: Bachelor's degree (Political Science) from the University of Calgary, Master's degree (Business Administration) from Rutgers University.
- Other Committees: COVID-19 Pandemic (2020); Standing Committee on Government Operations and Estimates (2022 – 2025); Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (2020 – 2022) (Vice-Chair); Standing Committee on Official Languages (2017, 2024);
- Other Defence-related Parliamentary Roles: Canadian Delegation to the Organization for Security and Co-operation in Europe Parliamentary Assembly (2025 – Present); Canadian NATO Parliamentary Association (2017 – 2025).
Auditor General report (Professional services contracting with McKinsey)
- National Defence welcomes the Auditor General's review.
- National Defence worked in close concert with our key partners at Treasury Board Secretariat and Public Services and Procurement Canada to respond to the Auditor General's recommendations – and will continue to do so.
- Further, we have taken our own steps to improve Conflict of Interest processes at National Defence.
- We have introduced a mandatory two-step screening process for all new hires to ensure that conflicts are better identified.
- We also remain committed to enhancing transparency in our procurement practices.
- For example, we have established a Contracting and Procurement Oversight Committee to strengthen internal processes and enhance oversight.
- Ultimately, at National Defence, we are entrusted with both the defence and security of our nation, and the careful stewardship of the public's funds
- We are committed to this mandate and continue to look for ways to improve.
- We thank the Auditor General for her work.
If pressed on contracted services from McKinsey:
- I recognize the importance of ensuring that contracts achieve expected results and value for money.
- McKinsey provided digital transformation and benchmarking services to National Defence.
- In many cases, McKinsey held the exclusive rights to these services.
Quick facts
- In total, National Defence had 15 contracts with McKinsey & Company between April 1, 2011, and March 31, 2023, valued at $29.6 million (with taxes).
- Of these contracts, 12 were awarded through Public Services and Procurement Canada's (PSPC's) National Master Standing Offer (NMSO) and one (1) by National Defence through a non-competitive process.
- In 2021, PSPC established a non-competitive NMSO with McKinsey & Company to support federal departments and agencies that required benchmarking services.
- On January 18, 2023, the Standing Committee on Government Operations and Estimates (OGGO) adopted a motion requesting that departments provide copies of all contracts with McKinsey, as well as related material to the committee and that the Auditor General conduct a review looking into contracts awarded to McKinsey & Company. [Alongside other departments National Defence provided copies of contracts to both OGGO and the Standing Committee on Public Accounts.]
- The Auditor General provided a single recommendation related to ensuring that those involved in the procurement process do not have conflicts-of-interest.
- Additionally, instead of repeating recommendations, the Auditor General recommended that departments continue implementing recommendations from previous reports and reviews related to professional services contracts.
- These previous reports are the March 2023 Internal Audit of Federal Government Consulting Contracts Awarded to McKinsey & Company, and the March 2024 Procurement Practice Review of Contracts Awarded to McKinsey & Company conducted by the Office of the Procurement Ombud.
Background
Review of Contracts Awarded to McKinsey & Company
- On June 4, 2024, the Auditor General released her review, which included the following recommendation:
- Paragraph 51: To better ensure that those involved in the procurement process do not have conflicts-of-interest, organizations should implement a pro-active process to identify actual or perceived conflicts-of-interest in the procurement process and should retain the result of such a process as well as completed conflict-of-interest declarations.
- Treasury Board Secretariat provided a Management Response to this recommendation on behalf of all departments.
- Additional specific references to National Defence in the report, are as follows:
- 5.32 – "In addition, we found that National Defence and Employment and Social Development Canada waited more than a year for a non-competitive national master standing offer to be created with McKinsey & Company. Each was seeking benchmarking services that may have been available under other national master standing offers. It is unclear why the organizations chose to wait rather than using another procurement option."
- 5.45 – "National Defence and Employment and Social Development Canada each awarded 1 initial non-competitive contract using the exception under the Government Contracts Regulations that the value of the contract was below the set dollar threshold. This resulted in the use of another exception for the subsequent contracts of considerably greater value."
- 5.59 – "We also found that, in 2021, National Defence asked McKinsey & Company to send invoices before work was completed for 2 concurrent contracts: 1 in our sample of 33 contracts and 1 identified by the department's own internal audit. Services were ultimately provided in both cases; however, department officials certified that the services were received and released payment before the services were delivered. This contravened the Financial Administration Act."
- 5.62 – "We found that, in November 2021, 2 contracts for National Defence under the national master standing offer included services beyond the scope of work that the standing offer was intended to cover. In our view, National Defence should not have used this procurement tool for this work, and Public Services and Procurement Canada should have challenged it when National Defence's requirements exceeded the scope of the standing offer."
Responsible Principals: Assistant Deputy Minister (Review Services), Assistant Deputy Minister (Materiel)
September 29, 2025
Contracts with McKinsey
- National Defence recognizes the importance of ensuring that contracts achieve expected results and value for money.
- That is why all contracts with McKinsey were awarded to fill an existing gap within the Defence Team.
- For instance, the Chief Professional Conduct and Culture (CPCC), which serves as the single Functional Authority for professional conduct and culture at National Defence, launched in April 2021 with a staff of only 11 members.
- It was clear from the outset that to achieve enduring results, CPCC's approach needed to be data driven and survivor centric.
- To meet these needs, CPCC leveraged a National Master Standing Offer with McKinsey in seven instances.
- CPCC also leveraged McKinsey's benchmarking solution to track, categorize and analyze the over 500 recommendations made to National Defence on culture change by external reviewers, such as former Justice Fish.
- These contracts helped CPCC to enhance accountability, listen and learn from affected persons and members of the Defence Team, and transform the complaints system.
Quick facts
- Total Contract Value with McKinsey & Company: $29,652,661 (15 contracts)
- These contracts were issued using three solicitation methods:
- A non-competitive process (1 contract);
- Call-up against a non-competitive National Master Standing Offer (NMSO)
- (12 call-ups); and
- Call-up against a competitive Supply Arrangement (2 contracts).
- Public Services and Procurement Canada issued McKinsey with a NMSO through a non-competitive process, which expired on February 28, 2023.
Background
The National Master Standing Offer (NMSO) for McKinsey
- PSPC established a non-competitive NMSO with McKinsey to support federal departments and agencies that require benchmarking services.
- McKinsey's proprietary services consist of functional tools, databases, and expert support to measure their performance against similar Canadian and international organizations in order to identify deficiencies and opportunities for improvement.
- PSPC issued 12 call-ups for National Defence against this standing offer because the value of these contracts exceeded the departmental call-up limitation of $200,000, requiring PSPC to authorize the call-up and act as the as the contracting authority.
Chief Professional Conduct and Culture (CPCC)
- Total Number of Contracts: 7
- Total Value of Contracts: $20,606,538.60 (including taxes)
Enhancing Accountability
- CPCC leveraged McKinsey's benchmarking solution, to track, categorize and analyze the over 500 recommendations made to National Defence on culture change by external reviewers, such as former Justice Fish.
- In addition, CPCC leveraged McKinsey's services to help conduct a review of its operating model and organisational health two years after its inception, since it had grown in both size and scope.
Listening and Learning from our People
- McKinsey's benchmarking also includes modules for diversity, equity and inclusion, which CPCC used to carry out extensive culture consultations.
Transforming the Complaints System
- Finally, CPCC contracted McKinsey four times in its ongoing efforts to transform the complaints system.
- It leveraged specific diagnostic assessment solutions from McKinsey's digital suite to assist with end-to-end digital, analytics and technology transformation, in order to identify gaps and weaknesses in the current system, and to develop follow-on solutions.
Summary of Rationale
- CPCC, which serves as the single Functional Authority for professional conduct and culture at National Defence, launched in June 2021 with a staff of only 11 members.
- It was clear from the outset that to achieve enduring results, CPCC's approach needed to be data driven and survivor centric, and that CPCC needed to act swiftly.
Royal Canadian Navy (RCN)
- Total Number of Contracts: 4
- Total Value of Contracts: $5,746,585.87 (including taxes)
Digital Transformation
- RCN undertook a series of four contracts to ensure that all aspects of its organization were fit for purpose for the digital age.
- Each contract produced specific deliverables and, in some cases, generated results that strengthened the in-house tools and skill set with the RCN and National Defence more broadly.
- Primary deliverables included the RCN's Digital Navy Initiative delivered in 2021, and its corresponding Action Plan.
Summary of Rationale
- The RCN did not have the 'in-house' expertise needed to execute the analytical and technical work required to assess its digital needs, develop a strategy and action plan and then implement these. As such, it leveraged a Public Services and Procurement Canada National Master Standing Offer with McKinsey on three occasions. In addition, the RCN entered into one low dollar value (less than $25 thousand) sole-source contract with McKinsey under Section 6B of the Government Contracts Regulations.
Canadian Joint Operations Command
- Total Number of Contracts: 2
- Total Value of Contracts: $2,728,788 (including taxes)
Organizational Transformation
- The Canadian Joint Operations Command (CJOC) engaged McKinsey on two occasions to support the Command's work to transform and evolve the organization.
- McKinsey supported CJOC Command's efforts to improve organizational health including by recommendations to improve retention, employees experience, onboarding, modernization of workforce and attraction.
- McKinsey's conducted an analysis of CJOC staff and structure to determine the readiness to implement transformation based on digital and agile processes so as to support CAF deployed operations and CJOC's institutional roles.
Summary of Rationale
- CJOC Headquarters lacked the capacity and skill sets to build the short to long-term digital and practical solutions needed to address workforce concerns. It therefore leveraged the National Master Standing Offer with McKinsey & Company twice.
Vice Chief of the Defence Staff
- Total Number of Contracts: 1
- Total Value of Contracts: $565,000 (including taxes)
Spending Reviews
- Against the backdrop of a series of government-wide spending reviews, in 2012, the Deputy Minister and Chief of the Defence Staff established a Defence Renewal Team to lead, coordinate and drive a comprehensive business process renewal programme.
- McKinsey and the Defence Renewal Team worked jointly over a five-month period to design and develop a portfolio of initiatives with the aim of streamlining internal operations and increasing efficiency achieves better results for Canadians and the Canadian Armed Forces.
Summary of Rationale
- National Defence did not have the necessary expertise in regard to international benchmarking, to inform performance targets.
Assistant Deputy Minister (Materiel)
- Total Number of Contracts: 1
- Total Value of Contracts: $5,749 (including taxes)
Supply Chain Enhancement
- McKinsey was engaged to obtain third-party high-level recommendations to address Defence Supply Chain gaps and challenges in order to improve performance.
Summary of Rationale
- National Defence specifically solicited multiple external independent experts to build a robust set of recommendations on supply chain leading practices. The outsourced work is part of a thorough analysis of the Defence Supply Chain to inform the Defence Team's initiatives for modernizing and improving its supply chain performance.
Responsible Principals: Assistant Deputy Minister (Review Services), Assistant Deputy Minister (Materiel)
September 29, 2025
Overview of Chief Professional Conduct and Culture contracts
Quick facts
- Total Number of Contracts: 7
- Total Value of Contracts: $20,606,538.60 (including taxes)
- Timeframe: 2021-08-05 to 2023-04-17
Background
Context
- The Chief Professional Conduct and Culture (CPCC), which serves as the single Functional Authority for professional conduct and culture at National Defence, launched in June 2021 with a staff of only 11 members.
- It was clear from the outset that to achieve enduring results, CPCC's approach needed to be data driven and survivor centric, and that CPCC needed to act swiftly.
Work with McKinsey
- To meet these needs, CPCC required the advice of expert consultants. It leveraged a National Master Standing Offer with McKinsey & Company in seven instances, beginning in August 2021 and with one contract that was ongoing and ended on April 17, 2023.
- These seven contracts can be grouped under three broad lines of effort undertaken by CPCC to enhance accountability, listen and learn from affected persons and members of the Defence Team, as well as to transform the complaints system.
Enhancing Accountability
- For instance, starting in summer 2021, CPCC leveraged McKinsey's benchmarking solution, known as the Organizational Health Index (OHI), to track, categorize and analyze the over 500 recommendations made to National Defence on culture change by external reviewers, such as former Justice, Fish, and Arbour.
- Of note, McKinsey & Company holds exclusive rights to provide this type of benchmarking as per its proprietary survey-based diagnostics. These data sets are based on information obtained from McKinsey's clients through proprietary surveys. There are no authorized resellers.
- McKinsey has cited its OHI benchmark as a tool to provide leaders with a "detailed picture of their organizations' health compared to peers", with over 1 billion data points across geographies and industries, which "offer a global standard to measure and manage organizational health."
- CPCC leveraged McKinsey's services to help conduct a review of its operating model and organisational health two years after its inception, since it has grown in both size and scope.
Listening and Learning from our People
- The OHI also includes modules for diversity, equity and inclusion, which CPCC utilized in its contract with McKinsey to carry out extensive culture consultations.
Transforming the Complaints System
- Finally, CPCC contracted McKinsey four times in its ongoing efforts to transform the complaints system.
- It leveraged specific diagnostic assessment solutions from McKinsey's digital suite to assist with end-to-end digital, analytics and technology transformation, in order to identify gaps and weaknesses in the current system, and to develop follow-on solutions.
Responsible Principal: Chief Professional Conduct and Culture
September 29, 2025
Overview of Royal Canadian Navy contracts
Quick facts
- Total Number of Contracts: Four (4)
- This includes one (1) low dollar value (less than $25 thousand) contract, which was awarded via a non-competitive sole-source.
- Total Value of Contracts: $5,746,585.87 (including taxes)
- Timeframe: 2019-08-13 to 2022-02-07
Background
Context
- The Royal Canadian Navy (RCN) undertook a series of four contracts to ensure that all aspects of its organization – including financial, human resources, engineering, logistics, training, and operations – were fit for purpose for the digital age.
- Each contract produced specific deliverables and, in some cases, generated results that strengthened the in-house tools and skill set with the RCN and National Defence more broadly.
- Primary deliverables included the RCN's Digital Navy Initiative delivered in 2021, and its corresponding Action Plan guided by six strategic objectives to:
- Deliver a digitally-enabled future fleet;
- Leverage digital technologies to attract and retain a motivated, technologically-oriented RCN workforce;
- Increase the use of digital technologies to improve the delivery of materiel sustainability for the RCN;
- Further exploit digital technologies to improve the delivery of individual training and military personnel readiness;
- Increase the use of digital technologies to enhance the delivery of readiness and combat effectiveness; and
- Advance business management and communication practices through the innovative use of digital technologies.
Summary of Rationale
- The RCN did not have the 'in-house' expertise needed to execute the analytical and technical work required to assess its digital needs, develop a strategy and action plan and then implement these. As such, it leveraged a Public Services and Procurement Canada National Master Standing Offer with McKinsey & Company on three occasions. In addition, the RCN entered into one low dollar value (less than $25 thousand) sole-source contract with McKinsey under Section 6B of the Government Contracts Regulations.
Summary of Results
- Over the course of these four contracts, the RCN learned a unique methodology to solve problems in a digital environment.
- The single non-competitive contract with McKinsey & Company in 2019 to deliver a workshop for the RCN and other Defence Team members served as a crucial pre-cursor to subsequent work on digital transformation that is outlined in the three remaining contracts. This contract enabled the RCN to gain insight into modern design methodologies for digital strategies.
- To retain this expertise in-house, the RCN worked with McKinsey & Company to develop a product called "Playbook", where it captured the methodology and processes for the future use.
- The totality of McKinsey & Company's products delivered to the RCN was shared with organizations across the Defence Team who were interested, thus amplifying value for investment for the broader department.
Responsible Principal: Royal Canadian Navy
September 29, 2025
Overview of Canadian Joint Operations Command contracts
Quick facts
- Total Number of Contracts: Two (2)
- Total Value of Contracts: $2,728,788 (including taxes)
- Timeframe: 2022-03-31 to 2022-09-03
Background
Context
- The Canadian Joint Operations Command (CJOC) engaged McKinsey & Company on two instances to support the Command's work to transform and evolve the organization.
- This allowed command staff to continue to focus on the CJOC raison d'être – supporting deployed operations - while also ensuring that it was responding to the needs of its current workforce and putting in place the necessary building blocks for its institutional future.
- Past surveys of CJOC HQ personnel showed a high rate of burnout, health issues, and frustrations within the CJOC HQ work environment, necessitating action to implement changes in the short-term and develop a long-term plan.
- Amplifying CJOC HQ's Human Resources challenges was the high turnover rate, where approximately half of military personnel change over annually.
Summary of Rationale
- CJOC Headquarters lacked the capacity and skill sets to build the short to long-term digital and practical solutions needed to address workforce concerns. It therefore leveraged the National Master Standing Offer with McKinsey & Company twice.
Summary of Results
- Over the course of these two contracts CJOC developed a long-term human resources strategy, codified staff Terms of Reference to establish clear roles and responsibilities between functional groups and standardized staff orientation.
Responsible Principal: Canadian Joint Operations Command
September 29, 2025
Overview of Vice Chief of the Defence Staff contract
Quick facts
- Total Number of Contracts: One (1)
- Total Value of Contracts: $565,000
- Timeframe: 2013-01-07 to 2013-05-13
Background
Context
- Against the backdrop of a series of government-wide spending reviews, in 2012, the Deputy Minister and Chief of the Defence Staff established a Defence Renewal Team (DRT) to lead, coordinate and drive a comprehensive business process renewal programme.
- In 2013, the DRT and McKinsey worked over a five-month period to design and develop a portfolio of initiatives and a plan for moving forward with implementation.
- Throughout this period, ideas and hypotheses originated both within National Defence and from McKinsey's insights and best practices from renewal experiences with other defence ministries from around the world.
- Objective: To undertake an in-depth analysis of renewal opportunities at National Defence.
- McKinsey and the DRT worked jointly over a five-month period to design and develop a portfolio of initiatives with the aim of streamlining internal operations and increasing efficiency to transform the way in which the Department achieves better results for Canadians and the Canadian Armed Forces.
- Results: Development of a Transformation Charter and Business Plan
- As part of their initial analysis, McKinsey estimated the size of renewal opportunity for some initiatives using rough order of magnitude international benchmarks.
- Through follow-on analysis and consultation across the Defence Team, estimates were refined, with some of them being revised downwards to take account of and adjust for realities specific to the Canadian context.
- These products ultimately informed National Defence's Defence Renewal Charter (2013) and corresponding action plan which focused on improvements in the areas of organizational practices as well as performance (i.e. operations and training), maintenance and materiel, information management and technology, infrastructure, personnel and management systems.
- While the DRT was stood-down in 2017, its work was folded into the development of Strong, Secure, Engaged (SSE) initiatives related to modernizing the business of defence, increasing the efficiency and effectiveness of DND/CAF to ensure stable, realistic and predictable funding.
- Security Requirement: Secret
- Outsourcing Rationale: National Defence did not have the necessary expertise in regard to international benchmarking, to inform performance targets.
- Contracting mechanism: Competitive
Government Operations and Estimates Committee Motion for the Production of Papers
- Despite a thorough search of physical and electronic files, the VCDS group was unable to locate the final report and presentation prepared by McKinsey on findings related to the optimal composition and organization of the DRT.
- The contract was let over ten years ago and the DRT disbanded several years ago. It is likely that documents were not retained beyond the mandatory six-year time frame as set out under Treasury Board information management policies and guidelines.
Responsible Principal: Vice Chief of the Defence Staff
September 29, 2025
Overview of Assistant Deputy Minister (Materiel) contract
Quick facts
- Total Number of Contracts: One (1)
- Total Value of Contracts: $5,749 (including tax)
- Timeframe: 2022-09-23 to 2022-11-10
Background
Context
- Objective: To obtain third-party high-level recommendations to address Defence Supply Chain gaps and challenges in order to improve performance.
- The Defence Supply Chain comprises over 600 million items, spanning roughly 1.2 million NATO Stock Numbers, globally dispersed across more than 300 supply warehouses, as well as private sector supplies.
- Sound management of the entire Defence Supply Chain is required to deliver against CAF operational needs.
- Results: McKinsey made seven (7) key recommendations. These – as well as those provided by other companies who participated in this process – are informing the Defence Team's supply chain modernization and improvement plans.
- McKinsey's recommendations related to decision making, people and professionalization, processes, technology, and analytics. These recommendations were supported by McKinsey's subject-matter research and its insights on other supply chain transformation efforts.
- Outsourcing Rationale: National Defence specifically solicited multiple external independent experts to build a robust set of recommendations on supply chain leading practices. The outsourced work is part of a thorough analysis of the Defence Supply Chain to inform the Defence Team's initiatives for modernizing and improving its supply chain performance.
- Contracting mechanism: Against a Supply Arrangement.
- The Defence Supply Chain (DSC) is a strategic capability, integral to supporting Defence operations in Canada and abroad. For this reason, National Defence continues to look for opportunities to improve its practices in this area.
- Its complex business processes comprise a broad range of activities from materiel planning, acquisition, support, warehousing, distribution, and divestment.
Contracting Process
- Through an open and transparent Request for Supply Arrangement process in early 2021, National Defence pre-qualified a number of suppliers, including McKinsey & Company, to provide consultancy services in support of DSC modernization.
- Through a competitive process under the Supply Arrangement, National Defence subsequently awarded a contract to four qualified companies – McKinsey & Company, IBM, Deloitte, and Accenture – to provide a holistic review and report on the current state of the DSC.
- This contract was awarded to McKinsey under a firm fixed price model with single payment upon acceptance of a final report. McKinsey's contract rate was in line with comparable services, and they met the deliverables outlined in the contract.
- McKinsey was required to sign a non-disclosure agreement, as per the terms of the contract.
Recommendations
- McKinsey's recommendations, along with those from the other companies, are part of a data set which are being used to inform the department's Defence Supply Chain modernization efforts.
- McKinsey's recommendations included:
- Improve organizational operating model and decision making to support readiness
- Double down on capability building at all levels
- Ensure accurate and precise data flows through the supply chain
- Implement a balanced scorecard upon which to base a refinement of the DSC design
- Invest in leading-edge capital asset acquisition tools and apply world class procurement practices
- Improve supply chain operations for materiel, supported by digital tools, including digital twins and a control tower
- Improve maintenance management, and enhance equipment availability with a robust maintenance excellence program
Responsible Principal: ADM (Materiel)
September 29, 2025
Contracting of professional services
- While National Defence has expert staff dedicated to meeting our priorities, we also rely on outside expertise at times.
- Consulting services can supplement the work carried out internally with industry expertise and, in some cases, proprietary information.
- This may help spur change and innovation within the Department.
- Professional services are used to support capital projects and in-service fleets, such as maintenance for our Arctic and Offshore Patrol Ships, which are integral to Defence readiness and operations.
- To be clear, whenever consulting services are used, conflict of interest processes are followed to ensure transparency, so that any potential conflicts can be managed and mitigated, where needed.
Conflict of Interest Processes:
- Building on lessons learned, National Defence is taking decisive action to improve its internal conflict of interest processes.
- All new hires and staffing actions within the Department of National Defence must complete a mandatory screening questionnaire.
- In addition, proactive screening is in place for civilian and military members through a mandatory Conflict of Interest questionnaire.
- Employees are now required to affirm their understanding of and adherence to values and ethics.
- This includes conflict of interest policies as part of the Performance Management cycle.
If pressed on employees also contracting with the government:
- Under Treasury Board and National Defence policies, there is no prohibition against contracting for services with current and former employees.
- All vendors who do business with the Government of Canada are subject to the Public Services and Procurement Canada Code of Conduct for Procurement.
- This means that, by submitting a bid, vendors warrant that no real, apparent or perceived conflict of interest exists or is likely to arise in the performance of the contract.
- If vendors become aware of any matter that causes or may cause a conflict of interest, they must immediately disclose the matter to the contracting authority in writing.
Quick facts
Contracting of Professional Services
- National Defence relies on contracted resources to supplement internal capabilities or to provide a capability not available within the Defence Team.
- Examples of contracted resources include:
- Temporary Help Services – resources that provide support and expertise for a period not exceeding 48 weeks;
- Professional Services – resources procured through standing offers, supply arrangements, competitive or non-competitive processes that complete work in accordance with contract milestones; and
- Training – resources that provide specialized expertise to National Defence employees.
- In Fiscal Year 2024-25, National Defence expenditures on "Professional and Special Services" totaled $6.9 billion.
- Of this amount, National Defence expenditures on "management consulting" totaled $65.4 million. This is for all expenses coded as a subset of professional services under "Management Consulting" and does not distinguish between type of vendor (e.g. staff augmentation, financial management services, etc.).
Conflict of Interest
- In 2024-25, the Review Services branch received 1,619 Conflict of Interest (COI) submissions from employees and CAF members, 79 of which were assessed as presenting a real, apparent, or potential COI.
- In the first quarter of 2025–26, 2,263 questionnaires were completed for new hires, resulting in 96 positive responses requiring a Confidential Report.
- All defence contracts incorporate the Code of Conduct for Procurement, which outlines the expectations and obligations for vendors and sub-contractors who respond to bid solicitations and are awarded contracts.
- It states that by submitting a bid, vendors warrant that no real, apparent, or perceived conflict of interest exists or is likely to arise during the performance of the contract. If a vendor becomes aware of any situation that creates or may create a conflict of interest, they must immediately disclose the matter in writing to the contracting authority.
- A Guide to Mitigating Conflicts of Interest in Procurement has also been released by Treasury Board Secretariat to support the identification, reporting, mitigation and monitoring of conflicts in the federal procurement process.
Background
- All Government of Canada employees have an obligation to prevent, identify, disclose, and manage conflicts of interest.
- Persons hired to and within the Defence Team are expected to follow key policies, including the National Defence and Canadian Armed Forces Code of Values and Ethics and public servants must attest to these values and ethics as part of the performance management process.
- Before entering into a contractual arrangement with the Government of Canada for which they would receive any direct or indirect benefit or income, Defence Team members must submit a confidential conflict of interest report as required whenever they engage in any outside activity. For Canadian Armed Forces members, Chain of Command approval must also be obtained in advance.
Improving Conflict of Interest (COI) Processes
- Step 1: As part of the letter of offer process, employees must complete a mandatory screening questionnaire. This includes a series of yes/no questions. If an employee answers "yes" to any of them, they are required to submit a Confidential Report to the National Defence Review Services branch within 30 days.
- Step 2: The Review Services branch reviews the Confidential Report to assess and determine whether a potential conflict of interest exists and, if so, what mitigation measures are required.
- The Proactive Conflict of Interest Questionnaire initiative is being expanded across the Defence Team to include both civilian and military members on a cyclical basis and will also extend to Canadian Coast Guard and Department of Fisheries and Oceans employees who joined National Defence as of September 2.
Responsible Principals: Assistant Deputy Minister (Materiel), Assistant Deputy Minister (Review Services), Assistant Deputy Minister (Human-Resources)
October 8, 2025
Office of the Procurement Ombudsman's report: McKinsey
- I welcome the Procurement Ombudsman's review of government contracts awarded to McKinsey.
- National Defence has accepted the recommendations and acknowledged the need for continuous improvement in our procurement process.
- We are also implementing a Management Action Plan, which includes updating internal policies, procedures and training.
- This involves establishing clearer guidelines and controls for when contracting exemptions from Public Services and Procurement Canada are required, such as when we are seeking specialized or proprietary services.
- This will directly address the Procurement Ombudsman's recommendation and will further help ensure that National Defence is transparent in its procurement practices.
Quick facts
- Between April 1, 2011, and March 31, 2023, National Defence had 15 contracts with McKinsey & Company, for a total value of $29.6M.
- 13 of these contracts were included in the Procurement Ombud's review.
- 12 contracts were a call-up under a non-competitive National Master Standing Offer established by Public Services and Procurement Canada (PSPC), while one contract was awarded by National Defence on a sole-source basis.
- On February 3, 2023, the Minister of PSPC requested the Procurement Ombud to conduct a review of government contracts awarded to McKinsey & Company.
- The review provided five recommendations to ensure that mandatory methods of supply are utilized with appropriate documentation for exemptions.
Background
Review of Contracts Awarded to McKinsey & Company
- On April 15, 2024, the Procurement Ombud released their review, which included the following five recommendations, with one recommendation implicating National Defence:
- Recommendation 1: Canada Border Services Agency (CBSA) and Innovation, Science and Economic Development Canada (ISED) should implement procedural controls to ensure procurement strategies are centered on satisfying operational requirements rather than engaging specific suppliers.
- Recommendation 2: PSPC and ISED should not authorize any work without first confirming that all resources named in the contract and all resources added through task authorizations meet all security requirements and should retain the confirmation in the contract file.
- Recommendation 3: Employment and Social Development Canada (ESDC), Privy Council Office (PCO), Natural Resources Canada (NRCan) and National Defence should implement procedural controls to ensure mandatory methods of supply are utilized when required and exemptions from PSPC are sought and documented, when applicable.
- Recommendation 4: PSPC should put in place appropriate governance over the establishment of non-competitive National Master Standing Offer's for professional services, including a review of the decision to pursue a non-competitive procurement strategy.
- Recommendation 5: PSPC should ensure any future established non-competitive standing offers include call-up procedures that require written justification for issuing a call-up without competition. In the case of standing offers for professional services, the call-up procedures should require authorized users to prepare a statement of work (SOW) specific to their requirement.
- In its response to the Report, National Defence noted several areas where enhancements can be made to strengthen the fairness, openness, and the transparency of procurement practices.
- More specifically, National Defence completed a review and updated, where necessary, internal policies, guidance and training, to ensure that its contracting compliance framework aligns with the updated policies and procedures resulting from the Management Action Plan.
- The Procurement Ombud's Report is one of a series of internal and external reviews that were undertaken on government contracting with McKinsey over the course of 2023.
- Externally, the Auditor General released a report in June 2024.
Internal Audit of McKinsey (2023)
- Internally to Defence, in 2023, the Assistant Deputy Minister (Review Services) undertook an audit of Federal Government consulting contracts awarded to McKinsey & Company.
- The audit found that National Defence generally adheres to procurement policy and to its own internal processes, including financial and delegation processes.
- Some exceptions were noted in terms of financial controls and the absence of key information on some files, with a need to improve file management practices through dedicated digital solutions.
- The audit also identified improvement opportunities to enhance guidance and training as well as to leverage the existing departmental compliance verification framework to better demonstrate compliance to policy.
- Finally, the audit raised the need to strengthen proactive disclosure, to ensure that all National Defence contracts are disclosed completely, accurately and on a timely basis.
- The findings and recommendations of this audit were presented to National Defence management and accepted, including the corresponding Management Action Plan.
- Three of the four identified actions have been successfully implemented. The fourth action, currently in progress, focuses on advancing the digital transformation of information management capabilities and solutions. This initiative aims to strengthen the management of information and data assets related to contract lifecycle management. The Departmental Audit Committee will continue to monitor the implementation of the remaining item, in alignment with National Defence's internal audit processes.
Responsible Principals: Assistant Deputy Minister (Review Services), Assistant Deputy Minister (Materiel)
September 29, 2025